INDWF comments on the Bonus recommendations by 7th CPC
INDWF General Secretary Shri.R.Srinivasan published a detailed assesment of the recommendations of 7th Pay Commission. Particularly in the Bonus issue, he said that the bonus is considered as deferred wages and not an incentive.
“The commission has recommended a Performance Related Pay on the lines of Performance Related Incentive Scheme by VI CPC. While we cannot oppose the move of the Government to incentivize employees performing well, the move to abollish PLB is not agreeable. PLB is equal to the Bonus paid under Payment of Bonus Act. Historically, Bonus is considered as deferred wages and not an incentive and a minimum Bonus is prescribed even for loss making companies under Bonus Act. Any Incentive Scheme, which abolishes the existing PLB, should be opposed tooth and nai. Increasing/lifting bonus ceilings as demended should be re-iterated.”